Fixed rate mortgages ensure that your payment will remain the same from the time you take out the loan until it is paid off.  The classic fixed mortgage is available for a 30-year term, but some lenders offer them in 40, 25, 20 or 15-year durations.  There is also a biweekly fixed loan, in which you make half the monthly payment every two weeks.  With a biweekly loan, you are making the equivalent of thirteen instead of twelve monthly payments each year, reducing the amount of interest paid over the life of the loan.

Adjustable rate mortgages (ARMs) are often a good choice if you anticipate an increase in income, a drop in mortgage rates or plan to live in the home for only a short time. As the name implies, the interest rate will vary over the duration of the loan.  Most ARMs have caps that limit the amount that the loan can go up in any given period and over the life of the loan.  The most common terms for ARMs are one year, three years and five years. Depending on what factor the interest is tied to, your ARM payment may actually go down.

As your real estate agent, I can refer you to a number of lending institutions who will help you choose the best loan to finance your golf course home.

Submitting a successful offer is just the first of many steps involved in the purchase of your home.  You will meet with lenders, hire an inspector, shop for insurance and sign what seems like hundreds of documents. The most important piece of advice I can give you is to ask questions.

If you don’t understand any of the steps along the way, feel free to call or e-mail me and I will provide the information you need. If I don’t have the answer for you, I will get it for you from my team of professionals who are dedicated to making sure that your transaction proceeds seamlessly and on time.

My Cardinal Rule for Home Buyers:  Never sign any document before reading it!

There are so many pieces of paper involved in closing your home sale that you may be tempted to skim over some of them or, worse, take someone’s advice that everything is in order. Don’t do it!  The document you ignore may have valuable information that can affect your purchase.  Although I have many resources to help you during the sale process, I always recommend that you seek legal and tax advice from qualified professionals.

The basic steps of the transaction process include:

• Finding a lender—You can and should be pre-qualified or pre-approved for a loan before you start looking for a home. This increases the likelihood of your offer being accepted by the sellers.  Research loan options carefully, comparing the annual percentage rate, loan fees, discount and origination before deciding. I work with a number of local lenders who can provide exactly the right loan for you. Click on this link for more information about my team of lenders and the loans they offer.
  
• Know closing costs— Once the loan is approved, the lender will give you a good faith estimate of all the costs you will have to pay at closing. These include, but are not limited to, points, appraisal fees, loan fees, title search, documentary stamps, recording fees and surveys.  Check with the lender to see what form of payment is acceptable—a cashier’s check is usually required.
  
• Hiring an inspector—Although not required, having a qualified inspector look over the home’s structural, electrical, plumbing, heating and roofing can save you dollars and heartbreak down the road.  If an inspector discovers severe damage or malfunctioning systems, you may be able to ask the seller to make repairs or renegotiate the purchase price, if you included inspection as a contingency in your original offer.
  
• Buying insurance—Most lenders require a homeowner’s policy that covers damage and property loss. In Florida, title insurance is usually furnished and paid for by the seller.
  
• Appraising the home—Your lender will normally hire a professional appraiser to make sure the home’s value is equal to the amount of the loan. This cost will be included in your closing costs.
  
• Closing the sale—The final step is handled by a neutral party, usually the title company. At the closing you will be asked to review and sign many documents detailing every aspect of the purchase.  Bring all the papers you have accumulated and check them against the documents you receive at closing.  If you have any questions, this is the time to ask them.  Don’t be intimidated by the closing process and feel obligated to sign something that doesn’t look right.  Changes and corrections can be made up until you have signed the final papers.